application of factories act in an organization
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2nd Assignment Application of Factories Act in an Organization
ALLAMA I
QBAL OPEN UNIVERSITY
(Department of Business Administration)
Assignment # 2
Business and Labor Acts (5547)
TOPIC: APPLICATION OF FACTORIES ACT IN
AN ORGANIZATION
Submitted to: Sir Jahanger
Submitted by: Ishtiaq Ahmed (0333-6824303)
AH-526270
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2nd Assignment Application of Factories Act in an Organization
ACKNOWLEDGEME
NT
All praises to Almighty Allah, the most Gracious, the most Beneficent and
the most Merciful, who enabled me to complete this assignment.
I feel great pleasure in expressing my since gratitude to my teacher, for
his guidance and support for providing me an opportunity to complete myProject.
My special thanks and acknowledgments to Mr. Zeeshan for providing
me all relative information, guidance and support to compile the practical
study at Kohinoor Mill Limited.
I will keep my hopes alive for the success of given task to submit this
report to my honorable teacher Sir Asif Iqbal, whose guidance; support
and encouragement enable me to complete this assignment.
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2nd Assignment Application of Factories Act in an Organization
EXECUTIVE SUMMA
RY
“K.M.L has grown from a cotton export house into the premier
business group of Pakistan with 5 listed companies, concentrating on 3
core businesses; Textiles, Cement and Power Generation. Today, K.M.L is
considered to be at par with multinationals operating locally in terms of
its quality products and management skills.
I recently have done my Research at Kohinoor Mills Limited, in
which I got training from its H.R Department. The Research basically
revolved around the employee relation with the organization. The system,
the style of working & the commitment of the employees in KML is really
an example. The difference between the success & failure is doing things
right and doing things nearly right, & KML has always tried for success &
that is why it is known to be one of the leading organizations in Pakistan.
Irrespective of all these positive points of Kohinoor Mills Limited, I have
noticed a few areas where the improvement can really increase theefficiency of KML. I also mentioned about the Textile industry in Pakistan
and vision of its industry. Then I have done a detailed SWOT Analysis.
Then I have discussed about my learning in the whole Research that is all
about the Textile Terminologies and process of the human behavior. I
have made it possible to write each and every thing that I have learnt
there.
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2nd Assignment Application of Factories Act in an Organization
Table of Contents Page No
Title page
Acknowledgement 02
Executive Summary 03
Table of contents 04
Introduction to the issue 05
Practical study of organization 26
Practical study of organization with respect to the
issue
29
SWOT analysis 33
Conclusion 36
Recommendations 37
References 38
Introduction to Topic
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2nd Assignment Application of Factories Act in an Organization
Act:
Act is a system of rules and guidelines which are enforced through social
institutions to govern behavior, wherever possible. It shapes politics,
economics and society in numerous ways a
nd serves as a social mediator
of relations between people. Contract Act regulates everything from
buying a bus ticket to trading on derivatives markets. Property Act
defines rights and obligations related to the transfer and title of personal
and real property. Trust Act applies to assets held for investment and
financial security, while tort Act allows claims for compensation if a
person's rights or property are harmed. If the harm is criminalized in
legislation, criminal Act offers means by which the state can prosecute
the perpetrator. Constitutional Act provides a framework for the creation
of Act, the protection of human rights and the election of political
representatives. Administrative Act is used to review the decisions of
government agencies, while international Act governs affairs between
sovereign states in Activities ranging from trade to environmental
regulation or military Action. Writing in 350 BC, the Greek philosopher
Aristotle declared, "The rule of Act is better than the rule of any
individual."
Factory:
Section 175 of the Act defines "Factory" as premises in which persons are
employed in manual labor in any process for or incidental to:
Making any article or part of any article;
Altering, repairing, ornamenting, finishing, cleaning, or washing,
or breaking up or demolition of any article;
Adapting any article for sale;
Slaughtering of cattle, sheep, swine, goats, horses, asses or
mules; or
In some circumstances, confinement of such animals awaiting
slaughter at other premises.
The Act also defines certain other specific premises as "Factories" such as
laundries and printing works (s. 175(2)).
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2nd Assignment Application of Factories Act in an Organization
Factories Act 1934
Introduction:
The Factories Act 1934 was promulgated to safeguard theworkers against exploitation by t
he industrialist. The Act
aims at regulation the working conditions of workers in
Factories. The Act provide for the appointment of necessary
staff for the administration of the Act and lays down the law
to regulate the conditions of health and safety of workers,
their working hours, special provisions relating to children,
adolescent and women workers. The Act provides for
penalties for infringement of the law.
Adolescent. Section 2(a)
"Adolescent" means a person who has completed his fifteenth but has not
completed his seventeenth year.
Adult. Section 2(b)
“Adult" means a person who has completed his seventeenth year.
Child. Section 2(c)
"Child" means a person who has not completed his fifteenth year.
Day. Section 2(d)
"Day" means a period of twenty-four hours beginning at mid-night.
Week. Section 2(e)
"Week" means a period of seven days beginning at mid-night on
Saturday night.
Power. Section 2(f)
"Power" means electric energy, and any other form of energy which is
mechanically transmitted and is not generated by human or animal
agency.
Manufacturing process. Section 2(g)
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2nd Assignment Application of Factories Act in an Organization
"Manufacturing process" means any process
(i) for making, altering, repairing, ornamenting, finishing or packing, or
otherwise treating any article or substance with a view to its use, sale,
transport, delivery or disposal, or
(ii) For pumping oil, water or sewage, or
(iii) For generating, transforming or
transmitting power.
Worker. Section 2(h)
"worker" means a person employed directly or through an agency
whether for wages or not in any manufacturing process, or in cleaning
any part of the machinery or premises used for a manufacturing process,or in any other kind of work whatsoever, incidental to or connected with
the subject of the manufacturing process, but does not include any
person solely employed in a clerical capacity in any room or place where
no manufacturing process is being carried on.
Factory. Section 2(j)
"Factory" means any premises, including the precincts thereof, whereon
ten or more workers are working, or were working on any day of thepreceding twelve months, and in any part of which a manufacturing
process is being carried on or is ordinarily carried on with or without the
aid of power, but does not include a mine, subject to the operation of the
Mines Act, 1923.
Machinery. Section 2(k)
"Machinery" includes all plant whereby power is generated, transformed,
transmitted or applied.
Occupier. Section 2(I)
"Occupier" of a Factory means the person who has ultimate control over
the affairs of the Factory:
Provided that where the affairs of a Factory are entrusted to a managing
agent, such agent shall be deemed to be the occupier of the Factory.
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2nd Assignment Application of Factories Act in an Organization
Relay and shift. Section 2(m)
where work of the same kind is carried out by two or more sets of
workers working during different periods of the day, each of such sets is
called a "relay" and the period or periods for which it works is called a"shift".
Seasonal Factories. Section 4
(1) For the purposes of this Act, a
Factory, which is exclusively engaged
in one or more of the following manufacturing processes, namely, cotton
ginning, cotton or cotton jute pressing, the decortications of groundnuts,
the manufacture of coffee indigo, lac, rubber, sugar (including gur) or tea
or any of the aforesaid processes, is a seasonal Factory :
Provided that the Provincial Government may, by notification in the
Official Gazette, declare any such Factory in which manufacturing
processes are ordinarily carried on for more than one hundred and eighty
working days in the year, not to be a seasonal Factory for the purposes of
this Act.
(2) The Provincial Government may, by notification in the Official
Gazette, declare any specified Factory in which manufacturing processes
are ordinarily carried on for more than one hundred and eighty working
days in the year and cannot be carried on except during particular season
or at times dependent on the irregular Action of natural forces, to be a
seasonal Factory for the purposes of this Act.
The Inspecting Staff
Inspectors. Section 10(1)
The Provincial Government may, by notification in the Official Gazette,
appoint such persons as it thinks fit to be Inspectors for the purposes of
this Act within such local limits as it may assign to them respectively.
Chief Inspectors. Section 10(2)
The Provincial Government may, by notification as aforesaid, appoint any
person to be a Chief Inspector, who shall, in addition to the powers
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conferred on a Chief Inspector under this Act, exercise the powers of an
Inspector throughout the Province.
Disqualification for the Appointment. 10(3)
No person shall be appointed to be an Ins
pector under sub-section (1) or
a Chief Inspector under sub-section (2) or having been so appointed shall
continue to hold office, which is or becomes directly or indirectly
interested in a Factory or in any process or business carried on therein or
in any patent or machinery connected therewith.
District Magistrate an Inspector. Section 10(4)
Every District Magistrate shall be an Inspector for his district.
Additional Inspectors. Section 10(5)
The Provincial Government may also, by notification as aforesaid, appoint
such public officers as it thinks fit to be additional Inspectors for all or any
of the purposes of the Act, within such local limits as it may assign to
them respectively.
Certifying surgeons. Section 12
(1) The Provincial Government may appoint such registered medical
practitioners as it thinks fit to be certifying surgeons for the purposes of
this Act within such local limits as it may assign to them respectively.
(2) A certifying surgeon may authorize any registered medical
practitioner to exercise any of his powers under this Act: Provided that a
certificate of fitness for employment granted by such authorized
practitioner shall be valid for a period of three months only, unless it is
confirmed by the certifying surgeon himself after examination of the
person concerned.
Powers of Inspector
Subject to any rules made by the Provincial Government in this behalf, an
Inspector may, within the local limits for which he is appointed,
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2nd Assignment Application of Factories Act in an Organization
(a) enter with such assistants (if any), being persons in the service of the
state or of any municipal or other public authority, as he thinks fit, any
place which is or which he has reason to believe to be, used as a Factory
or capable of being declared to be a Factory under the provisions of
section 5;
(b) make such examination of the prem
ises and plant and of any
prescribed registers, and take on the spot or otherwise such evidence of
persons as we may deem necessary for carrying out the purposes of this
Act; and
(c) Exercise such other powers as may be necessary for carrying out the
purposes of this Act: Provided that no one shall be required under this
section to answer any question or give any evidence tending to criminatehimself.
Health and Safety
Cleanliness. Section 13
(1) Every Factory shall be kept clean and free from effluvia arising from
any drain, privy or other nuisance, and in particular,
• (a) accumulation of dirt and refuse shall be removed daily by
sweeping or by any other effective method from the floors and
benches of work-rooms and from staircases and disposed of in a
suitable manner ;
• (b) the floor of every work-room shall be cleaned at least once in
every week by washing, using disinfectant where necessary or by
some other effective method ;
• (c) where the floor is liable to become wet in the course of any
manufacturing process to such extent as is capable of beingdrained, effective means of drainage shall be provided and
maintained ;
• (d) all inside walls and partitions, all ceilings, or tops of rooms and
walls, sides and tops or passages and staircases shall:
o (i) where they are painted or varnished, be repainted or
revarnished at least once in every five years ;
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2nd Assignment Application of Factories Act in an Organization
o (ii) where they are painted or varnished and have smooth
impervious surfaces, be cleaned at least once in every
fourteen months, by such methods as may be prescribed ;
o (iii) in any other case, kept whitewashed or color washed and
the whitewashing or color washing shall be carried out at leastonce in every fourteen months
; and
• (e) The dates on which the processes required by clause (d) are
carried out shall be entered in the prescribed register.
(2) If, in view of the nature of the operations carried on in a Factory it is
not possible for the occupier to comply with all or any of the provisions of
sub-section (1), the Provincial Government may, by an order, exempt
such Factory or class or description of Factories from any of the
provisions of that sub-section and specify alternative methods for keepingthe Factory in a clean state.
Disposal of wastes and effluents. Section 14
(1) Effective arrangements shall be made in every Factory for the
disposal of wastes and effluents due to the manufacturing process carried
on therein.
(2) The Provincial Government may make rules prescribing the
arrangements to be made under sub-section (1) or requiring that the
arrangements made in accordance with that sub-section shall be subject
to the approval of such authority as may be prescribed.
Ventilation and temperature. Section 15
(1) Effective and suitable provisions shall be made in every Factory for
securing and maintaining in every work-room:
• (a) adequate ventilation by the circulation of fresh air, and• (b) such temperature as will secure to workers therein reasonable
conditions of comfort and prevent injury to health
Dust and fume. Section 16
• (1) In every Factory in which, by reason of the manufacturing
process carried on, there is given off any dust or fume or other
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2nd Assignment Application of Factories Act in an Organization
impurity of such a nature and to such an extent as is likely to be
injurious or offensive to the workers employed therein, effective
measures shall be taken to prevent its accumulation in any work-
room and its inhalation by workers and if any exhaust appliance is
necessary for this purpose, it shall be applied as near as possible tothe point of origin of the dust, fum
e or other impurity, and such
point shall be enclosed so far as possible.
• (2) In any Factory no stationary internal combustion engine shall be
operated unless the exhaust is conducted into open air and exhaust
pipes are insulated to prevent scalding and radiation heat, and no
internal combustion engine shall be operated in any room unless
effective measures have been taken to prevent such accumulation
of fumes there from as are likely to be injurious to the workers
employed in the work-room.
Overcrowding. Section 18
(1) No work-room in any Factory shall be over-crowded to an extent
injurious to the health of the workers employed therein.
(2) Without prejudice to the generality of the provisions of sub-section (1)
there shall be provided for every worker employed in a work-room -
• (a) at least three hundred and fifty cubic feet of space in the case of
a Factory in existence on the date of the commencement1 of the
Labour Laws (Amendment) Ordinance, 1972; and
• (b) At least five hundred cubic feet of space in the case of a Factory
built after the commencement of the Labour Laws (Amendment)
Ordinance, 1972.
The Chief Inspector may, by order in writing, exempt, subject to such
conditions as he may think fit to impose, any work-room from theprovisions of this section if he is satisfied that compliance therewith in
respect of such room is not necessary for the purpose of health of the
workers employed therein.
Lighting. Section 19
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2nd Assignment Application of Factories Act in an Organization
(1) In every part of a Factory where workers are working or passing, there
shall be provided and maintained -
• (a) Sufficient and suitable lighting, natural or artificial, or both; and
•
(b) Emergency lighting of special points in work-room and passagesto function automatically in case of a
failure of the ordinary electric
system.
Drinking Water. Section 20
(1) In every Factory effective arrangements shall be made to provide and
maintain at suitable points conveniently situated for all workers employed
therein a sufficient supply of whole-some drinking water.
(2) All such points shall be legibly marked "Drinking Water" in a language
understood by the majority of the workers and no such point shall be
situated within twenty feet of any washing place, urinal or latrine, unless
a shorter distance is approved in writing by the Chief Inspector.
(3) In every Factory wherein more than two hundred and fifty workers are
ordinarily employed, provision shall be made for cooling the drinking
water during the hot weather by effective means and for distribution
thereof and arrangements shall also be made for:
• (a) the daily renewal of water if not laid on; and
• (b) A sufficient number of cups or other drinking vessels, unless the
water is being delivered in an upward jet.
Latrines and urinals. Section 21
In every Factory:
•
(a) sufficient latrines and urinals of prescribed types shall beprovided conveniently situated and accessible to workers at all
times while they are in the Factory;
• (b) enclosed latrines and urinals shall be provided separately for
male and female workers;
• (c) such latrines and urinals shall be adequately lighted and
ventilated and no latrine and urinal shall, unless specially exempted
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2nd Assignment Application of Factories Act in an Organization
in writing by the Chief Inspector, communicate with any workroom
except through an intervening open space or ventilated passage;
• (d) all such latrines and urinals shall be maintained in a clean and
sanitary condition at all times with suitable detergents or
disinfectants or with both;• (e) the floors and internal walls of th
e latrines and urinals and the
sanitary blocks shall, up to a height of three feet, be finished to
provide a smooth polished impervious surface; and
• (f) Washing facilities shall be provided near every sanitary
convenience.
Spittoons. Section 22
In every Factory there shall be provided, at convenient places, a sufficientnumber of spittoons which shall be maintained in a clean and hygienic
condition.
Whosoever spits in contravention of sub-section (3) shall be punishable
with a fine not exceeding two rupees.
Precautions against contagious or infections disease. Section 23
(1) Each worker in a Factory shall be provided with a "Hygiene Card' in
which during the month of January and July every year entries shall be
recorded after examination by appointed Factory doctor to the effect that
the worker is not suffering from any contagious or infectious disease. The
fee of such an examination shall be fixed by the Provincial Government
and will be borne by the occupier or manager of the Factory.
(2) If a worker is found to be suffering from any contagious or infectious
disease on an examination under sub-section (1), he shall not be
appointed on work till he is declared free of such a disease.
Compulsory vaccination and inoculation. Section 23-A
Each worker in a Factory shall be vaccinated and inoculated against such
diseases and at such intervals as may be prescribed. The expenses, if
any, of such vaccination and inoculation shall be borne by the occupier or
manager of the Factory.
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2nd Assignment Application of Factories Act in an Organization
Canteens. Section 24
The Provincial Government may make rules requiring that in any
specified Factory wherein more than two hundred and fifty workers are
ordinarily employed, an adequate canteen shall be provided for the use of the workers.
Welfare Officer. Section 24-A
In every Factory wherein not less
than five hundred workers are ordinarily
employed the occupier or manager shall employ such number of welfare
officers, having such qualifications, to perform such duties and on such
terms and conditions as may be prescribed.
Precautions in case of fire. Section 25
Every Factory shall be provided with such means of escape in case of fire
as may be prescribed. If it appears to the Inspector that any Factory is
not provided with the means of escape prescribed under sub-section (1)
he may serve on the manager of the Factory an order in writing
specifying the measures which should be adopted before a date specified
in the order.
Fencing of machinery. Section 26
(1) In every Factory the following shall be securely fenced by the
safeguards of substantial construction which shall be kept in position
while the parts of machinery required to be fenced are in motion or in
use, namely -
• (a) every moving part of a prime mover, and every fly wheel
connected to a prime mover;
• (b) the headrace and tailrace of every water wheel and waterturbine;
• (c) any part of a stock-bar which projects beyond head stock of a
lathe; and
• (d) unless they are in such position or of such construction as to be
as safe to every person employed in the Factory as they would be if
they were securely fenced -
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2nd Assignment Application of Factories Act in an Organization
o (i) every part of an electric generator, a motor or rotary
convertor;
o (ii) every part of transmission machinery; and
o (iii) every dangerous part of any machinery:
• Provided that, in the case of dangerous parts of machinery thatcannot be securely fenced by reas
on of the nature of operation,
such fencing may be substituted by other adequate measures, such
as -
o (i) devices automatically preventing the operation from
coming into contact with the dangerous parts ; and
o (ii) automatic stopping devices
Work on or near machinery in motion. Section 27
• (1) Where in any Factory it becomes necessary to examine any part
of machinery referred to in section 26 while the machinery is in
motion, or as a result of such examination, to carry out any
mounting or shipping of belts, lubrication or other adjusting
operation while the machinery is in motion, such examination or
operation shall be made or carried, out only by a specially trained
adult male worker wearing tight fitting clothing whose name hasbeen recorded in the register prescribed in this behalf and while he
is so engaged, such worker shall not handle a belt at a moving
pulley unless the belt is less than six inches in width and unless the
belt joint is either laced or flush with the belt.
• (2) No woman or child shall be allowed in any Factory to clean,
lubricate or adjust any part of machinery while that part is in
motion, or to work between moving parts or between fixed and
moving parts of any machinery which is in motion.
Employment of young person’s on dangerous machines. Section
28
(1) No child or adolescent shall work at any machine unless he has been
fully instructed as to the dangers arising in connection with the machine
and the precautions to be observed and
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• (a) has received sufficient training in work at the machine, or
• (b) Is under adequate supervision by a person who has thorough
knowledge and experience of the machine.
Striking gear and devices for cutting off power. Section 29
(1) In every Factory:
• (a) suitable striking gear or other efficien
t mechanical appliances
shall be provided and maintained and used to move driving belts to
and from fast and loose pulleys which form part of the transmission
machinery, and such gear or appliances shall be so constructed,
placed and maintained as to prevent the belt from creeping back on
the fast pulleys;
• (b) Driving belts when not in use shall not be allowed to rest or ride
upon shafting in motion.
Self-Acting machines. Section 30
No traversing part of a self-Acting machine in any Factory and no material
carried thereon shall, if the space over which it runs is a space over which
any person is liable to pass whether in the course of his employment or
otherwise, be allowed to run on its outward or inward traverse within a
distance of eighteen inches from any fixed structure which is not part of
the machine.
Casing of new machinery. Section 31
(1) In all machinery driven by power and installed in any Factory after the
commencement of the Labour Laws (Amendment) Ordinance, 1972 -
• (a) every set screw, belt or key on any revolving shaft, spindle,
wheel or pinion shall be so sunk, encased or otherwise effectivelyguarded as to prevent danger; and
• (b) all spur, worm and other toothed or friction gearing which does
not require frequent adjustment while in motion shall be completely
encased unless it is so situated as to be as safe as it would be if it
were completely encased.
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Prohibition of employment of women and children near cotton
openers. Section 32
No woman or child shall be employed in any part of a Factory for pressing
cotton in which a cotton-opener is at work:
• Provided that if the feed end of a
cotton-opener is in a room
separated from the delivery end by a partition extending to the roof
or to such height as the Inspector may in any particular case specify
in writing, women and children may be employed on the side of the
partition where the feed end is situated.
Cranes and other lifting machinery. Section 33
(1) The following provisions shall apply in respect of cranes and all other
lifting machinery, other than hoists and lifts in any Factory:
• (a) every part thereof, including the working gear, whether fixed or
movable, ropes and chains and anchoring and fixing appliances
shall be
o (i) of good construction, sound material and adequate strength
o (ii) properly maintained
o (iii) thoroughly examined by a competent person at least once
in every period of twelve months, and a register shall be kept
containing the prescribed particulars of every such
examination
• (b) no such machinery shall be loaded beyond the safe working load
which shall be plainly marked thereon
• (c) while any person is employed or working on or near the wheel
tract of a travelling crane in any place where he would be liable to
be struck by the crane, effective measures shall be taken to ensure
that the crane does not approach within twenty feet of that place orcome into accidental contact with live electrical lines.
Hoists and lifts. Section 33-A
(1) In every Factory:
• (a) every hoist and lift shall be
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o (i) of good mechanical construction, sound material and
adequate strength;
o (ii) properly maintained, and shall be thoroughly examined by
a competent person authorized by the Chief Inspector in this
behalf at least once in every period of six months, and aregister shall be kept containin
g the prescribed particulars of
every such examination of which a copy shall be forwarded to
the Chief Inspector;
• (b) every hoist way and lift way shall be sufficiently protected by an
enclosure fitted with gates, and the hoist or lift and every such
enclosure shall be so constructed as to prevent any person or thing
from being trapped between any part of the hoist or lift and any
fixed structure or moving part;
• (c) the maximum safe working load shall be plainly marked on everyhoist or lift, and no load greater than such load shall be carried
thereon;
• (d) the cage of every hoist or lift used for carrying persons shall be
fitted with a gate on each side from which access is afforded to a
landing;
• (e) Every gate referred to in clause (b) or clause (d) shall be fitted
with interlocking or other efficient device to secure that the gate
cannot be opened except when the cage is at the landing and that
the cage cannot be moved unless the gate is closed.
Revolving machinery. Section 33-B
In every room in a Factory in which the process of grinding is carried on
there shall be permanently affixed to or placed near each machine in use
a notice indicating the maximum safe working peripheral speed of every
grind stone or abrasive wheel, the speed of the shaft or spindle upon
which the wheel is mounted and the diameter of the pulley upon such
shaft or spindle necessary to secure such safe working peripheral speed.
Pressure plant. Section 33-C
If in any Factory any part of the plant or machinery used in a
manufacturing process is operated at a pressure above atmospheric
pressure, effective measures shall be taken to ensure that safe working
pressure of such part is not exceeded.
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Floors, stairs and means of access. Section 33-D
In every Factory:
• (a) all floors, stairs, passages and gangways shall be of sound
construction and properly maintained
and where it is necessary to
ensure safety, steps, stairs, ladders, passages and gangways shall
be provided with substantial handrails;
• (b) there shall, so far as is reasonably practicable, be provided and
maintained safe means of access to every place at which any
person is at any time required to work;
• (c) all places of work from which a worker may be liable to fall a
distance exceeding three feet and six inches shall be provided with
fencing or other suitable safeguards; and
(d) Adequate provision shall be made for the drainage of floors in wet
processes and for the use of slatted stands and platforms.
Pits, sumps, opening in floors, etc. section 33-E
In every Factory, every fixed vessel, sump, tank pit or opening in the
ground or in floor which by reason of its depth, situation, construction or
contents, is or may be a source of danger, shall be either securely
covered or securely fenced.
Excessive weights. Section 33-F
No person shall be employed in any Factory to lift, carry or move any load
so heavy as to be likely to cause him injury.
Protection of eyes. Section 33-G
The Provincial Government may, in respect of any manufacturing processcarried on in any Factory, by rule require that effective screens or
suitable goggles shall be provided for the protection of persons employed
on, or in the immediate vicinity of, a process which involves -
• (a) risk of injury to the eyes from particles or fragments thrown off
in the course of the process, or
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• (b) Risk to the eyes by reason of exposure to excessive light or
heat.
Powers to require specifications of defective parts or tests of
stability. Section 33-H
If it appears to the Inspector that any bu
ilding or any part of the ways,
machinery or plant in a Factory, is in such a condition that it may be
dangerous to human life or safety, he may serve on the Manager of the
Factory an order in writing, requiring him before a specified date -
• (a) to furnish such drawings, specifications and other particulars as
may be necessary to determine whether such building, ways,
machinery or plant can be used with safety, or
• (b) To carry out such tests as may be necessary to determine the
strength or quality of any specified parts and to inform the Inspector
of the results thereof.
Safety of building, machinery and manufacturing process.
Section 33-1
• (1) If it appears to the Inspector that any building or part of a
building or any part of the ways, machinery or plant or
manufacturing process in a Factory is in such a condition that it is
dangerous to human health or safety, he may serve on the Manager
of the Factory an order in writing specifying the measures which, in
his opinion, should be adopted, and requiring them to be carried out
before a specified date.
Power to make rules to supplement this Chapter. Section 33-J
The Provincial Government may make rules requiring that
• (1) in any Factory or in any class or description of Factories, such
further devices and measures for securing the safety of the persons
employed therein as it may deem necessary shall be adopted: and
• (2) Work on a manufacturing process carried on with the aid of
power shall not be begun in any building or part of a building
erected or taken into use as a Factory until a certificate of stability
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2nd Assignment Application of Factories Act in an Organization
in the prescribed form and signed by a person possessing the
prescribed qualifications has been sent to the Chief Inspector.
Precautions against dangerous fumes. Section 33-K
(1) In any Factory no person shall enter o
r be permitted to enter any
chamber, tank, vat, pit, pipe, flue or other confined space in which
dangerous fumes are likely to be present to such an extent as to involve
risk of persons being overcome thereby, unless it is provided with a
manhole of adequate size or other effective means of ingress.
(2) No portable electric light of voltage exceeding twenty-four volts shall
be permitted in any Factory for use inside any confined space such as is
referred to in sub-section (1) and, where the fumes present are likely to
be inflammable, a lamp or light other than of flame proof construction
shall not be permitted to be used in such confined space.
Explosive or inflammable dust, gas, etc. section 33-L
(1) Where in any Factory any manufacturing process produces dust, gas,
fume or vapour of such character and to such extent as to be likely to
explode on ignition, all practicable measures shall be taken to prevent
any such explosion by -
• (a) effective enclosure of the plant or machinery used in the process
;
• (b) removal or prevention of the accumulation of such dust, gas,
fume or vapour ;
• (c) Exclusion or effective enclosure of all possible sources of
ignition.
Power to exclude children. Section 33-M
• (1) The Provincial Government may make rules prohibiting the
admission to any specified class of Factories, or to specify parts
thereof, of children who cannot be lawfully employed therein.
Working Hours of Adults
Weekly hours. Section 34
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2nd Assignment Application of Factories Act in an Organization
No adult worker shall be allowed or required to work in a Factory for more
than forty-eight hours in any week, or, where the Factory is a seasonal
one, for more than fifty hours in any week:
Provided that an adult worker in a Factory engaged in work which fortechnical reasons must be continuous th
roughout the day may work for
fifty-six hours in any week.
Weekly holiday. Section 35
(1) No adult worker shall be allowed or required to work in a Factory on a
Sunday unless -
• (a) he had or will have a holiday for a whole day on one of the three
days immediately before or after that Sunday, and
• (b) The manager of the Factory has, before that Sunday or the
substituted day, whichever is earlier.
Daily hours. Section 36
No adult worker shall be allowed or required to work in a Factory for more
than nine hours in any day:
• Provided that a male adult worker in a seasonal Factory may workten hours in any day.
Intervals for rest. Section 37
The periods of work of adult workers in a Factory during each day shall be
fixed either -
• (a) so that no period shall exceed six hours and so that no worker
shall work for more than six hours before he has had an interval forrest of at least one hour; or
• (b) so that no period shall exceed five hours, and so that no worker
shall work for more than five hours before he has had an interval for
rest of at least half an hour, or for more than eight and a half hours
before he has had at least two such intervals.
Spread over. Section 38
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The periods of work of an adult worker in a Factory shall be so arranged
that along with his intervals for rest under section 37, they shall not
spread over more than ten and a half hours, or where the Factory is a
seasonal one, eleven and a half hours in any day, save with the
permission of the Provincial Government and subject to such conditionsas it may impose, either generally or in th
e case of any particular Factory.
Extra pay for overtime. Section 47
(1) Where a worker
• (a) in a non-seasonal Factory works for more than nine hours in any
day or for more than forty-eight hours in any week, or
• (b) in a seasonal Factory works for more than nine hours in any day
or for more than fifty hours in any week,
Obligation to work overtime. Section 47-A
Any adult worker may be required to work overtime, provided that such
working conforms to the provisions of this Act and the rules made there
under.
Restriction on double employment. Section 18
No adult worker shall be allowed to work in any Factory on any day on
which he has already been working in any other Factory, save in such
circumstances as may be prescribed.
Holidays with PayAnnual holidays. Section 49-B
(1) Every worker who has completed a period of twelve months
continuous service in a Factory shall be allowed, during the subsequent
period of twelve months holidays for a period of fourteen consecutive
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2nd Assignment Application of Factories Act in an Organization
days, inclusive of the day or days, if any, on which he is entitled to a
holiday under sub-section (1) of section 35.
(2) If a worker fails in any one such period of twelve months to take the
whole of the holidays allowed to him under sub-section (1), any holidaysnot taken by him shall be added to the
holidays to be allowed to him
under sub-section (1) in the succeeding period of twelve months, so
however that the total number of holidays which may be carried forward
to a succeeding period shall not exceed fourteen.
Pay during annual holiday. Section 49-C
Without prejudice to the conditions governing the day or days, if any, on
which the worker is entitled to a holiday under sub-section (1) of section
35, the worker shall, for the remaining days of the holidays allowed to
him under section 49-B, be paid at a rate equivalent to the daily average
of his wages as defined in the Payment of Wages Act, 1936 (IV of 1936),
for the days on which he Actually worked during the preceding three
months, exclusive of any earning in respect of overtime.
Payment when to be made. Section 49-D
A worker who has been allowed holidays under section 49-B shall, before
his holidays begin, be paid half the total pay due for the period of
holidays.
Casual leave and sick leave. Section 49-H
(1) Every worker shall be entitled to casual leave with full pay for ten
days in a year.
(2) Every worker shall be entitled to sixteen days sick leave on half
average pay in a year.
Festival Holidays. Section 49-1
(1) Every worker shall be allowed holidays with pay on all days declared
by the Provincial Government to be festival holidays.
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2nd Assignment Application of Factories Act in an Organization
(2) A worker may be required to work on any festival holiday but one
day's additional compensatory holiday with full pay and a substitute
holiday shall be allowed to him in accordance with the provisions of
section 35.
Special Provisions for A
dolescents and
Children
Prohibition of employment of young children. Section 50
No child who has not completed his fourteenth year shall be allowed to
work in any Factory.
Non-adult workers to carry tokens giving reference to
certificates of fitness. Section 51
No child who has completed his fourteenth year and no adolescent shall
be allowed to work in any Factory unless
• (a) a certificate of fitness granted to him under section 52 is in the
custody of the manager of the Factory, and
•
(b) He carries while he is at work a token giving a reference to suchcertificate.
Restrictions of the working hours of a child. Section 54
• (1) No child shall be allowed to work in a Factory for more than five
hours in any day.
Practical Study of the Organization
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2nd Assignment Application of Factories Act in an Organization
INTRODU
CTION OF ORGANIZATION:
The Kohinoor Maple Leaf Group was born from the trifurcation of the
Saigol group of companies and is a reputable and leading manufacturer
of textiles and cement. KTMG comprises of Kohinoor Textile Mills limited
(KTML) and Maple Leaf Cement Factory limited (MLCF). Both companies
are incorporated in Pakistan and are listed on three stock exchanges of
the country.
HISTORY:
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KML was incorporated in 1987 at Mangamandi and is one of the oldest
companies of Pakistan with over 50 years experience in textile
manufacturing. It was initially set up as a weaving project with 256
looms. However, after decades of aggressive expansion and
modernization KML has emerged into a fully vertically integrated hometextiles company with state of the art cap
abilities for Weaving, Dyeing,
Hosiery, Genertek, and Hometex. The company has a diverse customer
base with sales in both the local and export markets. The main
international markets include Asia, Europe, USA and Australia.
Kohinoor Mills Limited was incorporated as a Public limited Company on
December 21st, 1987 and is located at 8th K.M., Manga Raiwind Road,
and District Kasur. The Company produces greige cloth from cotton,
blended and synthetic yarns.
The project was initially established with 48 Sulzer Ruti shuttles-less
looms of 153" width from Switzerland with modern ancillary machinery to
produce high quality fabric for export markets. Further expansions saw
the installation of an additional 96 Tsudakoma air jet looms from Japan in
1990 and a third shed comprising 60 state of the art Picanol Omni 340 cm
wide looms was installed in July 1998, twelve with batching motions.
Another twelve Picanol Omni 340 cm wide looms were installed in 1999.
In 2000-2001 old 48 Sulzer Ruti looms were replaced by 48 lated Picanol
Omni Plus 380cm looms. In addition to that latest Picanol Omni plus
Jacquard Looms were also added as well as a yarn conditioning machine
from Zorella was also installed.
The entire manufacturing process from warping to fabric inspection is
monitored through an on-line process control system from Barco. The
marketing strategy is to explore new markets both in quota and non-
quota countries.
Vision Statement:
To transform the company into a modern and dynamic yarn, cloth and
processed cloth and finished product manufacturing company with highly
professionals and fully equipped to play a meaningful role on sustain able
basis in the economy of Pakistan.
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To transform the company into a modern and dynamic power generating
company with highly professionals and fully equipped to play a
meaningful role on sustainable basis in the economy of Pakistan.
Mission Statement:
To provide quality products to customers a
nd explore new markets to
promote/expand sales of the company through good governance and
foster a sound and dynamic team, so as to achieve optimum prices of
products of the company for sustainable and equitable growth and
prosperity of the company.
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2nd Assignment Application of Factories Act in an Organization
Practical Study of the Organization
with respect to the Issue
Applications of Factory Act
in Kohinoor Textile
Mill:
During my research I have found that Kohinoor Textile Mill Management
is following all the rules and regulations’ that are defined in Pakistan
Factory Act 1934. Some of the applications from these rules, I have
discuss below.
General Applications:
According to Factory Act a “Day” should not be more than 24
hours, the working day in Kohinoor mill is also 24 hours.
According to Factory Act a “Weak” should be of 7 days, Kohinoor
mill is also following this rule.
In Kohinoor mill the person under 15 years treated as “Child” and
above 18 years treated as “Adult”. An inspector from Government inspects the mill time to time.
Applications Regarding Health:
Mill sweepers sweeps in the all mill departments twice a day.
The floor of every work-room has clean at least once in every
week by washing, using disinfectant where necessary or by some othereffective method.
All mill walls are painted and furnished according to Factory Act.
There are effective arrangements for the disposal of wastes and
effluents due to the manufacturing process carried on therein.
Effective and suitable provisions have been made for securing and
maintaining in every work-room from over temperature and for air
circulation.
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Effective arrangements have been made for the disposal of wastes
and effluents due to the manufacturing process carried on therein.
No work-room in the mill is over-crow
ded to an extent injurious to
the health of the workers employed therein.
Sufficient, suitable and Emergency lighting of special points in
work-room and passages to function automatically in case of a failure of
the ordinary electric system.
In the whole mill effective arrangements have been made to
provide and maintain at suitable points conveniently situated for all
workers employed therein a sufficient supply of whole-some drinking
water.
All such points are legibly marked "Drinking Water" in a language
understood by the majority of the workers and no such point is situated
within twenty feet of any washing place, urinal or latrine.
Sufficient latrines and urinals of prescribed types are provided
conveniently situated and accessible to workers at all times while they
are in the mill.
All such latrines and urinals have maintained in a clean and
sanitary condition at all times with suitable detergents and
disinfectants. Washing facilities are provided near every sanitary convenience.
There have been provided, at convenient places, a sufficient
number of spittoons which are maintained in a clean and hygienic
condition.
Each worker in a Factory is provided with a "Hygiene Card' in
which during the month of January and July every year entries are
recorded after examination by appointed Factory doctor to the effect
that the worker is not suffering from any contagious or infectious
disease.
Applications Regarding Safety:
No child or adolescent are work at any machine unless he has
been fully instructed as to the dangers arising in connection with the
machine and the precautions to be observed.
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No woman or child are allowed in the mill to clean, lubricate or
adjust any part of machinery while that part is in motion, or to work
between moving parts or between fixed and moving parts of any
machinery which is in motion.
Efficient mechanical appliances are provided and maintained andused to move driving belts to and from
fast and loose pulleys which
form part of the transmission machinery, and such gear or appliances
are so constructed, placed and maintained as to prevent the belt from
creeping back on the fast pulleys.
Every set screw, belt or key on any revolving shaft, spindle, wheel
or pinion are so sunk, encased or otherwise effectively guarded as to
prevent danger.
All spur, worm and other toothed or friction gearing which does
not require frequent adjustment while in motion are completely encasedunless it is so situated as to be as safe as it would be if it were
completely encased.
No woman or child is employed in any part of a Factory for
pressing cotton in which a cotton-opener is at work.
Every part thereof, including the working gear, whether fixed or
movable, ropes and chains and anchoring and fixing appliances are of
good construction, sound material, adequate strength and properly
maintained.
every hoist and lift of good mechanical construction sound materialand adequate strength properly maintained, and are thoroughlyexamined by a competent person authorized by the Chief Inspectorin this behalf at least once in every period of six months, and aregister is kept containing the prescribed particulars of every suchexamination of which a copy is forwarded to the Chief Inspector.
No person is employed in the mill to lift, carry or move any load so
heavy as to be likely to cause him injury.
In the mill no person is enter or be permitted to enter any chamber,
tank, vat, pit, pipe, flue or other confined space in which dangerousfumes are likely to be present to such an extent as to involve risk of
persons being overcome thereby, unless it is provided with a
manhole of adequate size or other effective means of ingress.
Applications regarding Working Hours of
Adults:
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2nd Assignment Application of Factories Act in an Organization
No adult worker is allowed or required to work in a Factory for more
than forty-eight hours in any week, or, where the Factory is a
seasonal one, for more than fifty hours in any week.
No adult worker is allowed or required to work in a Factory on a
Sunday unless:
(a) He had or will have a holiday for a whole
day on one of the three days
immediately before or after that Sunday, and
(b) The manager of the Factory has, before that Sunday or the
substituted day, whichever is earlier.
No adult worker is allowed or required to work in a Factory for more
than nine hours in any day. Any adult worker may be required to work overtime, provided that
such working conforms to the provisions of this Act and the rules
made there under.
No adult worker is allowed to work in any Factory on any day on
which he has already been working in any other Factory, save in
such circumstances as may be prescribed.
Applications regarding Holydays with pay:
Every worker who has completed a period of twelve months
continuous service in the mill allowed, during the subsequent period
of twelve months holidays for a period of fourteen consecutive days,
inclusive of the day or days.
A worker who has been allowed holidays under section 49-B, before
his holidays begin, be paid half the total pay due for the period of
holidays.
Every worker is entitled to casual leave with full pay for ten days in
a year. Every worker is entitled to sixteen days sick leave on half average
pay in a year.
Every worker is allowed holidays with pay on all days declared by
the Provincial Government to be festival holidays.
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2nd Assignment Application of Factories Act in an Organization
Application Regarding Special Provisions for
Adolescents and Children:
No child who has not completed his fourteenth year shall be
allowed to work in the Mill.
No child is allowed to work in a Facto
ry for more than five hours in
any day.
No child who has completed his fourteenth year and no adolescent shall be allowed to
work in any Factory unless
(a) A certificate of fitness granted to him under section 52 is in the
custody of the manager of the Factory, and
(b) He carries while he is at work a token giving a reference to such
certificate.
SWOT analysis
Strength: Mill management has complete knowledge about Factory Act.
Mill management has a strong policy for the implementation of
Factory Act.
KML having own electricity power plant which is producing not
only for the KWML but also providing electricity to other companies and
to govt. at subsidy rate.
ERP (Enterprise Resource Planning) has been installed in KML that’s
why company is saving all records in systems and having huge
database.
KML has purchased latest power looms Toyota Air Jet Power Looms.
That’s why they have reduced the production cost and have
increased the quality and efficiency of their textile products.
In KML there are near about 4500 employees who are from different
environments and having different cultures but fortunately there is
no cross cultural communication.
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KML is one of the major Mills in Pakistan that’s why they have little
bit reputation in local market and having trust from investors.
Weakness: Most mill workers don’t know about Fa
ctory Act.
Factory Act is not fully implemented in the mill.
Most mill workers are uneducated so they can’t read or write
about Factory Act.
The delivery of each contract is always not done on time. The
customer has to wait for 4 to 5 weeks to get his/her desired product.
The main reason is that late purchasing of raw material. Raw
material just like Yarn and Sizing material is not available on time
and some time it happens that there is shortage of raw materialduring the running contract that’s why production department has
to wait for the raw material.
Commercial department of KML is showing its little bit bad
performance. Means always the yarn is purchased late and on credit
and payments are done by the department always very late.
There is no proper placing for final products to place them safely
and at the time of their dispatch there is possibility of mistake.
There are a little bit gaps in communication between the
departments. May be these confirm each and every thing from each
other but still they make mistakes and blame each others to safe
them.
KML has no proper planning for the Marketing. They advertise
about their selves only from newspapers. That’s why limited number of
people knows about them.
Opportunities:
The increasing trend of Education in the Pakistan cans bi fruitful
for the mill.
Due to unemployment the mill can hire educated workers those
are fully aware with Pakistani Laws and Regulations.
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2nd Assignment Application of Factories Act in an Organization
The technology has been improved for the textile industry and
these technologies are being acquired by the international competitors
as well as by local competitors so they are producing good quality
textile products and increasing the efficiency as well as decreasing the
cost of production. KWML has the opportunity to invest for the newtechnology.
HR department can prove and sho
w them they are here for
employees by motivating the employees performing their best. They
can find the motivation level of their employees and give them
incentives to motivate them.
KWML has the opportunity to capture the market share locally by
launching new projects just like they have launched “Dhanak “in
August 2008. They can start new projects in garments, Apparel or
Home Tax, Dyeing, Hosiery.
KML can open its own shops in local market where they can
display their garments products (socks, Trousers) and Apparels as well
as curtains.
Threats:
New Government polices and penalties on violation can bi harmful
for the mill because the worker who violates the rule cab be fired and
due to lack of workers mill production can be effected. Government of Pakistan has implemented some new rules for the
textile industries which are almost of them are not in fever of the
industrialists. These are
• 31% increment in the prices of Gas
• Near about 10 rupees per liter increment in price of petroleum
• Bann to export the raw cotton
• No subsidy for the research and developments in the textile
industry The high consumption of the petroleum is also the major issues
because in international market, their prices are going up and
touching sky, due to which the freight costs are increasing day by
day and hence the cost of production, is also increasing rapidly
which is becoming the reason of losing foreign customers of
Pakistan.
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KML has not been working for better Research and Development
Department for some years. They are not focusing to improve their
technology and expand their market share.
The prices of petroleum have been increased and still increasing
rapidly. That’s why the freight charges have been increased and thecost of productions has also been in
creased by the huge amount.
Due to these increments, the sale price has also been increased but
customers are not ready to pay more for a good quality instead of
better quality.
Conclusion
The topic which was assign was “Applications of Factory Act “
For every Factory/Mill rules and regulations are very important.
If the Factory/mill does negligent rules then that person can give loss to
the organization.
So the Mill has to do all the important Actions for the implementations
of Factory rules that are defined under Factory Act 1934.
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2nd Assignment Application of Factories Act in an Organization
In Kohinoor mill mostly all rules of Factory Act are implemented but still
there is need to fully implement of all rules. Most workers are not known
about Factory Act so the mill management has to take Action about
Factory Act awareness.
Recommendation
Mill management has to inform the mill workers about the Factory
Act.
There should be penalties for those workers who violate the Act.
Special incentives should also be given to Head on Eid and on
other special days should be given to the workers.
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2nd Assignment Application of Factories Act in an Organization
Medical facilities are given in mill but such facilities should also be
given to management.
Different training courses should be arranged for the up lifting and
improving the quality of work for employees.
They provide transportation facility to only female employees Ithink male should also be provided with c
onveyance convenience. This
will create the easiness for workers and reduce the wastage of time.
Reference
Project report “Applications of Factory Act”
www.slideshare.com
http://www.kohinoormill.com.pk/
http://en.wikipedia.org/wiki/Telenor_Pakistan
www.google.com
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